Last updated on APRIL 13, 2015
Applies to:Oracle Purchasing - Version 12.1.3 and later
Information in this document applies to any platform.
On : 12.1.3 version, E-Business Tax Issues
Upgrade instance to R12.1.3.
When setting up and testing tax for a Purchasing Organization with Locations where differing Sales Tax rules apply (for example, different US States), finding that the Sales Tax for the wrong State is being used.
Application Tax Options for Application Name Purchasing for our US operating unit is:
Defaulting Order 1 --> Item
Defaulting Order 2 --> Supplier Site
Defaulting Order 3 --> Ship to Location
Defaulting Order 4 --> Oracle Payables Financial Options <>
* No Item. Use Supplier and Supplier Site that doesn't have a tax classification code assigned.
* Ship to on the P.O. used has PA Sales Tax assigned. Bill to on the P.O. used has MA Sales Tax Assigned.
In 11i the P.O. gets PA Sales Tax defaulted
In R12 the P.O. gets MA Sales Tax defaulted.
****It is unclear why MA Sales Tax is being defaulted****
A. Seems as though the Ship to Location tax is being ignored.
B. Our Financial Options tax is null in 11i, thus it migrated as null in R12.... so why is MA Sales Tax being defaulted?
Expect this example to use PA Sales Tax versus MA Sales Tax.
The issue can be reproduced at will with the following steps:
1. Upgrade to 12.1.3
2. Enter po for ship to location in PA
3. See tax classification code is MA Sales Tax
Upgrade to 12.1.3
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